Daily Markets Briefing: STI down 0.9%

Today’s tone likely to remain downside biased.

OCBC Investment Research said:

With the US indices starting to pull back again overnight, this could spook the local bourse to further losses this morning.

Despite a positive opening yesterday, the STI slipped more than 0.9% subsequently to end the day in the red; this suggests that local investors are still feeling wary about the market in the near term.

And with today’s tone likely to remain downside biased, we could see the index falling further towards the 3130 immediate support.

Below that, the next key base lies at the 3070 resistance-turned-support. On the upside, 3200 psychological level is still the immediate resistance, followed by the subsequent hurdle at the 3270 key peaks.